Post date: Apr 22, 2012 7:21:7 PM
WASHINGTON D.C., UNITED STATES (APRIL 22, 2012) (REUTERS) - International Monetary Fund Managing Director Christine Lagarde said on Sunday (April 22) that the economic forecast for Africa was hopeful and "encouraging".
International Monetary Fund Managing Director Christine Lagarde says the economic forecast for Africa is hopeful and "encouraging."
"There is clearly une aspirance Africaine (African hope) that is on the horizon," she said after talks in Washington with African finance ministers. "I mentioned in this room a couple of days ago the dark clouds on the horizon, well there is certainly African hope on the horizon as well," she said.
Lagarde said the economic growth for the continent was at about four percent with at least four African countries showing double digit growth forecast.
She said they also discussed "potential shocks" that could affect African countries such as the increase of oil prices, commodities, and the European debt crisis as well as ways to deal with those shocks.
"We concluded that those that have sufficient reserves and fiscal space, they should be able to ease macro economic policies to actually support demand. For other countries that do not have such room to maneuver, fiscal room to maneuvers, they will have to strengthen their fiscal position and seek external funding if necessary. Because we think that its appropriate for them to actually rebuild their buffers just in case they were face external shocks yet again," Lagarde said.